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SWISSIE TAKES OVER in thinning volumes as London winds down into a US/Canada market holiday. USDCHF eyes 1.0090s trendline support extending from the Mar 2008 low. Selling pressure remains significant at 1.0220s for a retest of 1.0090s. EURCHF remains capped at 1.3120s, drawing sell orders...

The inevitability of further asset purchases from the Fed, BoE, ECB and BoJ enhance the case for gold and silver. ...

GOLD-SILVER RATIO http://chart.ly/g2plri3 Chart shows the G-S ratio testing the 65 level, which is the trend line support extending from the March 2008 low, which is the date of the Gold's first post 1980s record high. A break below the trendline would accompany further gains in Gold and Silver,...

AS GOLD HITS 8-WEEK HIGHS vs. all major currencies (except the yen) despite the euros broadening gains, the case for the yellow metal remains bolstered by what seems to be the inevitable path for QE2 from the Federal Reserve and the Bank of England. I made the case for $1270 in previous analysis...

After managing to sustain its highest levels for a year for a couple of weeks now the pound has slid back today against a basket of currencies on the back of risk aversion and capital flows into the US dollar, yen and Swiss franc as fears about the US and global economy continue to weigh on...

US JUL INDUS PRODUCTION +1.0%, twice more than expected, with capacity utilization rising at its strongest pace since Sep 2008 at 74.8. YEN CROSSES seen making the best of the day as Japanese intervention is in focus. NZDJPY eyes 61.20, CADJPY seen at 83.20. AUD builds on gains after a neutral...

HOW WILL USD FARE DURING DEFLATION? It depends on what is the reason to deflation and whether it is accompanied by substantial deleveraging in the markets as was the case in 2008-9. The last time we had GROWTH-DRIVEN deflationary fears (2002-3), the US dollar was under severe pressure. But that...

Since October 2008 gold has enjoyed a steady if somewhat choppy rise higher to new all-time highs against a range of currencies including the euro and the pound. The reasons for this rise are pretty well documented given the background of money printing by central banks and risks of sovereign...

Yen strength is here to stay especially as the US dollar's safe-haven lustre is eroded by the worsening US data. ...

$80.00 OIL has not been seen since May. The frequently cited Death Cross in equities and commodities is emerging in US crude oil, as the 55-DAY MA drops below BOTH the 100 and 200-day Mas for the 1st time since October 2008. as Ive cited back in Jan 19 article http://bit.ly/8EZTO8 , death crosses...

Ashraf''s appearance earlier on Fox Business News discussing the potential for a recurring NEGATIVE TRIFECTA http://bit.ly/abbiTU WORLDCUP WATCH: EVALUATING HOLLANDs STRENGTH via its impressiveness is irrelevant in this World Cup because Germany looked anything but impressive against...

SWISS FRANC vs. GOLD IS HIGHEST PERFORMING currency against gold since June, +9%, followed by JPY and EUR, which are +5.5% and 3.7% against the yellow metal. CHF was the best performing currency in June after the Swiss National Bank is widely perceived to back off its sporadic interventions, as...

Since the October 2008 lows of $682.50 the yellow metal has recovered its lustre initially moving up in conjunction with equity markets, as well as on the back of a weaker US dollar. This move higher also coincided with the move higher in the single European currency as markets stabilised on the...

STOCKS DEEPEN IN THE RED during NY Lunch, prompting USD higher, but USDCAD still seen capped at 1.0680, while EURUSD remains unable to regain 1.2660, now facing support at 1.2480. We're not giving up on the $1.2660 target. HOLLAND SENDS BRAZIL to ROBBEN ISLAND as the "Holland Oranje" come back...

ANSWER TO THE 2-WEEK OLD RIDDLE IS: What Does Holland's Soccer Team Has in Common with the September 2008 End of Lehman? ANSWER: Holland has NOT Lost a game since September 2008. The LAST DEFEAT was in September 6, 2008, against Australia 1-2. Since then, Holland never lost a game. Could...

What a nutty week for the equities market! The bleeding has not led up with almost 2 weeks of straight selling. Also we are seeing oil break down with a rather large bear flag and if that happens, which it looks like it will… then hold on tight or cash out of the market! There has been nothing...

Watch the risk of contacgion into Eurozone core nations, as well as the USD Index monthly rise and the broadening gains in the Swiss franc. ...

USD DOLLAR INDEX LOOKING FOR ITS 7th MONTHLY CONSECUTIVE increase, the longest winning streak since the history of the 39-year old index. Watch Ashraf's appearance on CNBC earlier today http://bit.ly/bg7l7d EURGBP deepens losses after to the lows of Nov 2008 at 0.8220s, showing no respite...

The EUR/USD & US Dollar Index failed once again at the 14-day MA on Thursday, setting up the latest retest of the critical 1.2132/1.2155 & 87.45 region. The 1.2132 level marks the 50% retracement level of the 2000 to 2008 bull campaign and the 1.2155 level is a monthly trendline that originates...

Mirror, mirror on the wall who's the ugliest of them all could have been the question directed at the pound and the Euro over the past 18 months, as they battled it out for the dubious distinction for the crown of least wanted currency in their own battle of the uglies. It now appears that...

Guided by bullish 4-hourly diverging studies, the EUR/USD was able to dodge a major bullet overnight. Euro bears got dangerously close to testing the May 19th low of 1.2139, which is very near the key 50% retracement level of the entire bull market move from 2000 to 2008. With only one day left in...

SILVERs TRIPLE TOP extends sell-off SEE CHART http://chart.ly/759vbb suggesting further damage in the metal, followed by a possible $1170 in gold. BOTTOM suggests further AUSSIE COLLAPSE CONTINUES as AUDUSD drops 5% vs JPY and 3.5% vs USD. Last nights break of the all important 0.8570 triple...

WE HAVE BEEN HERE BEFORE. Both USD and JPY rally sharply against all other currencies as stocks sell-off following Germanys announcement to ban naked shorts against selected stocks & euro bonds. BUT WHAT ABOUT USDJPY ? USDJPY has now lost only 150 pips after the sharp rebound from the May 6...

GBP drops across the board despite the highest annual CPI since Nov 2008 (3.7%). The bulk of sterlings climb occurred ahead of the figures before Cable dropped a full cent to $1.4430. Traders are not only confident in the Bank of Englands repetitive calls that rising UK inflation will be...

Last weeks EURUSD break below the 1.2700 area, if confirmed on a monthly close could have potentially bearish consequences for the single currency from a technical standpoint. Given the unprecedented size of the bailout from an EU perspective, as well as an IMF point of view, the market...

Gold reached a fresh all time high yesterday at 1248.5 and now is currently drifting slightly lower The RSI and Slow Stochastic are showing signs of being over bought but there is not yet a clear signal to sell Most traders will now be waiting for the drift to reach the old broken resistance...

Its been an exciting couple weeks in the market with gold now making new all time highs as money floods into this shiny safe haven. It has everyone all worked up wanting to take part or they are riding the rally up already. But the big question is when should some money be taken off the table to...

The Euro has continued its slide back from its overnight highs after a slow realisation that the bail-out while welcome from the point of view of bringing down CDS spreads, unless measures are taken to deal with the underlying structural problems affecting the most indebted of Euro zone nations,...

ECBs PRESS CONFERENCE DOES ANOTHER Business-As-usual, announcing no new policy measures in the midst of Sundays decision to suspend the minimum credit rating requirement. US & European equities may run the risk of extending fresh losses as the worlds second most important central bank avoids...

ATHENS VIOLENCE OVERSHADOWS TRADING despite April ADP payrolls growing by 32K, the highest since Jan 2008 and the March figure was revised to +19K from prev -32K. Intensifying violence in Athens, attempts to storm Greek Parliament and 3 people reported dead at the riots. These news give rise to...